Income Alerts Newsletter for 01/03/2017

Safety First

With capital preservation as our most important priority, we begin as always with a focus on index covered calls, which mitigate company specific risk.

Writing covered calls on ETFs, such as QQQs, is attractive to conservative investors who may not have the time to monitor a selection of companies on a watchlist and wish to avoid risks associated with trading specific companies, such as earnings surprises.

The QQQ options at strike $118.50 for January 27 2017 are offering a 1.74% return, which annualizes at a rate of 25.45%.

Chart for QQQ

The DIA options at strike $198.00 for January 27 2017 are offering a 1.10% return, which annualizes at a rate of 16.74%.

Chart for DIA

The SPY options at strike $224.00 for January 25 2017 are offering a 1.09% return, which annualizes at a rate of 18.08%.

Chart for SPY

Technology Focus: Income Opportunities

A January covered call on AAPL at strike $116.00 using 300 shares is offering an income potential of $534. In February, a strike 120.00 covered call offers $573 and in March, a strike 120.00 covered call offers $765 in premium.

The annualized return by writing covered calls in January is 31.65%, in February is 13.30% and in March is 11.10%.

Chart for AAPL

Energy Focus: Income Opportunities

A January covered call on APC at strike $70.00 using 300 shares is offering an income potential of $537. In February, a strike 70.00 covered call offers $990 and in May, a strike 70.00 covered call offers $1,740 in premium.

The annualized return by writing covered calls in January is 53.43%, in February is 39.42% and in May is 24.17%.

Chart for APC

A January covered call on EOG at strike $102.00 using 300 shares is offering an income potential of $582. In February, a strike 105.00 covered call offers $699 and in April, a strike 105.00 covered call offers $1,410 in premium.

The annualized return by writing covered calls in January is 39.67%, in February is 18.72% and in April is 16.33%.

Chart for EOG

Healthcare Focus: Income Opportunities

A January covered call on PFE at strike $32.50 using 300 shares is offering an income potential of $156. In February, a strike 33.00 covered call offers $180 and in March, a strike 33.00 covered call offers $237 in premium.

The annualized return by writing covered calls in January is 31.26%, in February is 14.62% and in March is 12.13%.

Chart for PFE

A January covered call on HCA at strike $74.50 using 300 shares is offering an income potential of $465. In February, a strike 75.00 covered call offers $780 and in March, a strike 75.00 covered call offers $990 in premium.

The annualized return by writing covered calls in January is 43.37%, in February is 28.89% and in March is 23.02%.

Chart for HCA

Consumer Staples Focus: Income Opportunities

A January covered call on ADM at strike $46.00 using 300 shares is offering an income potential of $225. In February, a strike 46.00 covered call offers $435 and in March, a strike 46.00 covered call offers $531 in premium.

The annualized return by writing covered calls in January is 33.87%, in February is 26.03% and in March is 19.90%.

Chart for ADM

A January covered call on CVS at strike $79.00 using 300 shares is offering an income potential of $405. In February, a strike 80.00 covered call offers $585 and in March, a strike 80.00 covered call offers $768 in premium.

The annualized return by writing covered calls in January is 35.30%, in February is 20.11% and in March is 16.54%.

Chart for CVS

Consumer Discretionary Focus: Income Opportunities

A January covered call on CMCSA at strike $69.50 using 300 shares is offering an income potential of $450. In February, a strike 70.00 covered call offers $570 and in April, a strike 70.00 covered call offers $870 in premium.

The annualized return by writing covered calls in January is 21.05%, in February is 21.97% and in April is 14.55%.

Chart for CMCSA

A January covered call on FOXA at strike $28.50 using 300 shares is offering an income potential of $105. In February, a strike 29.00 covered call offers $195 and in April, a strike 29.00 covered call offers $315 in premium.

The annualized return by writing covered calls in January is 24.28%, in February is 18.43% and in April is 12.91%.

Chart for FOXA

Financials Focus: Income Opportunities

A January covered call on BAC at strike $22.50 using 300 shares is offering an income potential of $144. In February, a strike 23.00 covered call offers $183 and in March, a strike 23.00 covered call offers $252 in premium.

The annualized return by writing covered calls in January is 42.65%, in February is 22.04% and in March is 19.23%.

Chart for BAC

A January covered call on GS at strike $240.00 using 300 shares is offering an income potential of $1,845. In February, a strike 240.00 covered call offers $2,820 and in April, a strike 240.00 covered call offers $4,200 in premium.

The annualized return by writing covered calls in January is 50.64%, in February is 31.73% and in April is 20.61%.

Chart for GS

Industrials Focus: Income Opportunities

A January covered call on UNP at strike $104.00 using 300 shares is offering an income potential of $789. In February, a strike 105.00 covered call offers $945 and in May, a strike 105.00 covered call offers $1,575 in premium.

The annualized return by writing covered calls in January is 50.00%, in February is 24.33% and in May is 14.11%.

Chart for UNP

A January covered call on UTX at strike $110.00 using 300 shares is offering an income potential of $447. In February, a strike 110.00 covered call offers $852 and in May, a strike 110.00 covered call offers $1,395 in premium.

The annualized return by writing covered calls in January is 27.94%, in February is 21.10% and in May is 11.80%.

Chart for UTX

Materials Focus: Income Opportunities

A January covered call on NEM at strike $34.50 using 300 shares is offering an income potential of $363. In February, a strike 35.00 covered call offers $543 and in March, a strike 35.00 covered call offers $690 in premium.

The annualized return by writing covered calls in January is 74.67%, in February is 44.52% and in March is 35.71%.

Chart for NEM

A January covered call on MON at strike $106.00 using 300 shares is offering an income potential of $135. In April, a strike 110.00 covered call offers $531 in premium.

The annualized return by writing covered calls in January is 8.71% and in April is 5.73%.

Chart for MON

Utilities Focus: Income Opportunities

A January covered call on ED at strike $75.00 using 300 shares is offering an income potential of $180. In February, a strike 75.00 covered call offers $375 and in May, a strike 75.00 covered call offers $750 in premium.

The annualized return by writing covered calls in January is 16.65%, in February is 13.69% and in May is 9.36%.

Chart for ED

A January covered call on NEE at strike $120.00 using 300 shares is offering an income potential of $480. In February, a strike 120.00 covered call offers $885 and in March, a strike 120.00 covered call offers $990 in premium.

The annualized return by writing covered calls in January is 27.53%, in February is 20.09% and in March is 14.01%.

Chart for NEE

Telecommunications Focus: Income Opportunities

A January covered call on VZ at strike $53.50 using 300 shares is offering an income potential of $162. In February, a strike 55.00 covered call offers $162 and in March, a strike 55.00 covered call offers $240 in premium.

The annualized return by writing covered calls in January is 20.72%, in February is 8.11% and in March is 7.50%.

Chart for VZ

A January covered call on SBAC at strike $105.00 using 300 shares is offering an income potential of $360. In February, a strike 105.00 covered call offers $735 and in March, a strike 105.00 covered call offers $1,110 in premium.

The annualized return by writing covered calls in January is 23.84%, in February is 19.28% and in March is 18.33%.

Chart for SBAC

* Prices quoted were as of time of writing and may not be current.

The information presented in this site is not intended to be used as the sole basis of any investment decisions, nor should it be construed as advice designed to meet the investment needs of any particular investor. Nothing in our research constitutes legal, accounting or tax advice or individually tailored investment advice. Our research is prepared for general circulation and has been prepared without regard to the individual financial circumstances and objectives of persons who receive or obtain access to it. Our research is based on sources that we believe to be reliable. However, we do not make any representation or warranty, expressed or implied, as to the accuracy of our research, the completeness, or correctness or make any guarantee or other promise as to any results that may be obtained from using our research. To the maximum extent permitted by law, neither we, any of our affiliates, nor any other person, shall have any liability whatsoever to any person for any loss or expense, whether direct, indirect, consequential, incidental or otherwise, arising from or relating in any way to any use of or reliance on our research or the information contained therein. Some discussions contain forward looking statements which are based on current expectations and differences can be expected. All of our research, including the estimates, opinions and information contained therein, reflects our judgment as of the publication or other dissemination date of the research and is subject to change without notice. Further, we expressly disclaim any responsibility to update such research. Investing involves substantial risk. Past performance is not a guarantee of future results, and a loss of original capital may occur. No one receiving or accessing our research should make any investment decision without first consulting his or her own personal financial advisor and conducting his or her own research and due diligence, including carefully reviewing any applicable prospectuses, press releases, reports and other public filings of the issuer of any securities being considered. None of the information presented should be construed as an offer to sell or buy any particular security. As always, use your best judgment when investing.

Search

Search for:

The investingmoguls.com is not an investment advisor and is not registered with the U.S. Securities and Exchange Commission or the Financial Industry Regulatory Authority. Further, owners, employees, agents or representatives of The investingmoguls.com are not acting as investment advisors and might not be registered with the U.S. Securities and Exchange Commission or the Financial Industry Regulatory.

The sender of this email makes no representations or warranties concerning the products, practices or procedures of any company or entity mentioned or recommended in this email, and makes no representations or warranties concerning said company or entity’s compliance with applicable laws and regulations, including, but not limited to, regulations promulgated by the SEC or the CFTC. The sender of this email may receive a portion of the proceeds from the sale of any products or services offered by a company or entity mentioned or recommended in this email. The recipient of this email assumes responsibility for conducting its own due diligence on the aforementioned company or entity and assumes full responsibility, and releases the sender from liability, for any purchase or order made from any company or entity mentioned or recommended in this email.

The content on any of The investingmoguls.com websites, products or communication is for educational purposes only. Nothing in its products, services, or communications shall be construed as a solicitation and/or recommendation to buy or sell a security. Trading stocks, options and other securities involves risk. The risk of loss in trading securities can be substantial. The risk involved with trading stocks, options and other securities is not suitable for all investors. Prior to buying or selling an option, an investor must evaluate his/her own personal financial situation and consider all relevant risk factors. See: Characteristics and Risks of Standardized Options.

The information presented in this site is not intended to be used as the sole basis of any investment decisions, nor should it be construed as advice designed to meet the investment needs of any particular investor. Nothing in our research constitutes legal, accounting or tax advice or individually tailored investment advice. Our research is prepared for general circulation and has been prepared without regard to the individual financial circumstances and objectives of persons who receive or obtain access to it. Our research is based on sources that we believe to be reliable. However, we do not make any representation or warranty, expressed or implied, as to the accuracy of our research, the completeness, or correctness or make any guarantee or other promise as to any results that may be obtained from using our research. To the maximum extent permitted by law, neither we, any of our affiliates, nor any other person, shall have any liability whatsoever to any person for any loss or expense, whether direct, indirect, consequential, incidental or otherwise, arising from or relating in any way to any use of or reliance on our research or the information contained therein. Some discussions contain forward looking statements which are based on current expectations and differences can be expected. All of our research, including the estimates, opinions and information contained therein, reflects our judgment as of the publication or other dissemination date of the research and is subject to change without notice. Further, we expressly disclaim any responsibility to update such research. Investing involves substantial risk. Past performance is not a guarantee of future results, and a loss of original capital may occur. No one receiving or accessing our research should make any investment decision without first consulting his or her own personal financial advisor and conducting his or her own research and due diligence, including carefully reviewing any applicable prospectuses, press releases, reports and other public filings of the issuer of any securities being considered. None of the information presented should be construed as an offer to sell or buy any particular security. As always, use your best judgment when investing.

Disclaimer: Past performance is no guarantee of future performance. This product is for educational purposes only. Practical application of the products herein are at your own risk and The investingmoguls.com.com, its partners, representatives and employees assume no responsibility or liability for any use or mis-use of the product. Please contact your financial advisor for specific financial advice tailored to your personal circumstances. Any trades shown are hypothetical example and do not represent actual trades. Actual results may differ. Nothing here in constitutes a recommendation respecting the particular security illustrated.